Results 1 to 19 of 19

Thread: Bay was right: Viacom, Microsoft sign $500 million deal

  1. #1

    Default Bay was right: Viacom, Microsoft sign $500 million deal

    http://www.usatoday.com/tech/techinv...tent-ads_N.htm

    seems Michael bay was right on the money with this one.

    now let the HD DVD fud begin

  2. #2
    Administrator nelson's Avatar
    Join Date
    Aug 2007
    Location
    Massachusetts
    Posts
    3,869

    Default Re: Viacom, Microsoft sign advertising, content deal

    Quote Originally Posted by space2001 View Post
    http://www.usatoday.com/tech/techinv...tent-ads_N.htm

    seems Michael bay was right on the money with this one.

    now let the HD DVD fud begin


    He was actually of by $400 million....



    Microsoft, meanwhile, will be able to put shows from MTV and Comedy Central and movies from Paramount Pictures onto various products, such as MSN and Xbox, the companies said in a statement. Microsoft already distributes some Viacom content though its Xbox Live Marketplace.

    The two companies did not disclose the financial terms of the deal, but said more than $500 million worth of stuff is to go back and forth under the five-year arrangement. "This is a novel and comprehensive partnership that demonstrates the scale of our digital operation and the value of our branded content across all distribution platforms," Viacom CEO Philippe Dauman said in a statement.

  3. #3
    Senior Member
    Join Date
    Oct 2007
    Posts
    100

    Default Re: Viacom, Microsoft sign advertising, content deal

    Quote Originally Posted by nelson View Post

    Umm, sounds like Viacom is paying Microsoft.

    Microsoft lands Viacom advertising, content deal
    http://www.reuters.com/article/busin...rpc=23&sp=true

    NEW YORK (Reuters) - Microsoft Corp won an estimated $500 million, 5-year Internet advertising deal with MTV Networks owner Viacom Inc, giving the software giant a boost against rivals Google Inc and Yahoo Inc.
    How does Viacom paying $500 Million to Microsoft for Internet advertising relate to HD DVD?

  4. #4
    Administrator nelson's Avatar
    Join Date
    Aug 2007
    Location
    Massachusetts
    Posts
    3,869

    Default Re: Bay was right: Viacom, Microsoft sign $500 million deal

    Actually, Paramount/Viacom gets about $500 million worth of services from Microsoft. IN RETURN, they--MSFT--get complete access.

    Do you actually think Viacom wrote a check?

    The two companies did not disclose the financial terms of the deal, but said more than $500 million worth of stuff is to go back and forth under the five-year arrangement. "This is a novel and comprehensive partnership that demonstrates the scale of our digital operation and the value of our branded content across all distribution platforms," Viacom CEO Philippe Dauman said in a statement.
    What is lost within the press is this little tidbit:

    Microsoft, meanwhile, will be able to put shows from MTV and Comedy Central and movies from Paramount Pictures onto various products, such as MSN and Xbox, the companies said in a statement. Microsoft already distributes some Viacom content though its Xbox Live Marketplace.

  5. #5

    Default Re: Bay was right: Viacom, Microsoft sign $500 million deal

    It just proved Mr.Bay's viewpoint I never doubt...

    but what's next? Except continues to make the movie, he does not have other to be possible to do.

    Sorry (to Mr.Bay and everyone), I'm tired to see this.

  6. #6
    Senior Member
    Join Date
    Oct 2007
    Posts
    100

    Default Re: Bay was right: Viacom, Microsoft sign $500 million deal

    Quote Originally Posted by nelson View Post
    Actually, Paramount/Viacom gets about $500 million worth of services from Microsoft. IN RETURN, they--MSFT--get complete access.

    Do you actually think Viacom wrote a check?

    What is lost within the press is this little tidbit:
    Ok, so this is about the Xbox Live Movie download service. Is there a reason that it bothers you that Microsoft is doing this with the Xbox360, but it doesn't bother you that Sony is about to launch their movie download service on the PS3?

    How are the two different?

  7. #7
    Administrator nelson's Avatar
    Join Date
    Aug 2007
    Location
    Massachusetts
    Posts
    3,869

    Default Re: Bay was right: Viacom, Microsoft sign $500 million deal

    Quote Originally Posted by Ranger View Post
    Ok, so this is about the Xbox Live Movie download service. Is there a reason that it bothers you that Microsoft is doing this with the Xbox360, but it doesn't bother you that Sony is about to launch their movie download service on the PS3?

    How are the two different?
    Not really...Sony is doing it the old fashion way: ethically.

  8. #8
    Senior Member
    Join Date
    Oct 2007
    Posts
    100

    Default Re: Bay was right: Viacom, Microsoft sign $500 million deal

    Quote Originally Posted by nelson View Post
    Not really...Sony is doing it the old fashion way: ethically.
    What's ethical about the Sony way? Buying Columbia and MGM so they control the content and decide how you get to see it?

    Would it be more ethical for Microsoft to buy Viacom and Disney?

  9. #9
    Administrator nelson's Avatar
    Join Date
    Aug 2007
    Location
    Massachusetts
    Posts
    3,869

    Default Re: Bay was right: Viacom, Microsoft sign $500 million deal

    Quote Originally Posted by Ranger View Post
    What's ethical about the Sony way? Buying Columbia and MGM so they control the content and decide how you get to see it?

    Would it be more ethical for Microsoft to buy Viacom and Disney?
    WHo needs to buy when you can basically bribe your way?

    Why not let the studios come to you and decide for themselves if they want to support your format (if indeed it is superior) instead of handing out checks for them to remain exclusive midway through the consumer adoption process? Does anyone here seriously think Paramount would've gone HD DVD exclusive without the $150 million bribe?

    BTW, Columbia and MGM were bought (not bribed, not purchased & dismembered) way before the HD media battle.

  10. #10
    Senior Member
    Join Date
    Oct 2007
    Posts
    100

    Default Re: Bay was right: Viacom, Microsoft sign $500 million deal

    Quote Originally Posted by nelson View Post
    WHo needs to buy when you can basically bribe your way?

    Why not let the studios come to you and decide for themselves if they want to support your format (if indeed it is superior) instead of handing out checks for them to remain exclusive midway through the consumer adoption process? Does anyone here seriously think Paramount would've gone HD DVD exclusive without the $150 million bribe?

    BTW, Columbia and MGM were bought (not bribed, not purchased & dismembered) way before the HD media battle.
    When Apple does a deal for exclusive content on iTunes, is that a bribe?

    I would love to see ALL studio content go neutral to both formats, but that's never going to happen. Sony bought Columbia and MGM to make sure they'd never repeat the Betamax fiasco. Sony learned their lesson well.

    Do you believe that the companies in the BDA wouldn't have offered more than $150 Million to have Paramount and DreamWorks Animation go Blu-ray exclusive? There's more to it than just the $150 million.

  11. #11
    Administrator nelson's Avatar
    Join Date
    Aug 2007
    Location
    Massachusetts
    Posts
    3,869

    Default Re: Bay was right: Viacom, Microsoft sign $500 million deal

    Quote Originally Posted by Ranger View Post
    When Apple does a deal for exclusive content on iTunes, is that a bribe?
    There is no need to bribe since iTunes holds about 80% of the download market. Apple doen't pay studios to support their store or DRM. Studios go to iTunes to deliver their content (and if they don't like it, they can always leave like Universal did). Exclusive content--in iTunes--has more to do with alternatives that eliminating the loveable CD.

    Do you believe that the companies in the BDA wouldn't have offered more than $150 Million to have Paramount and DreamWorks Animation go Blu-ray exclusive? There's more to it than just the $150 million.
    Obviously there isn't as Paramount doesn't care about quality and/or consumer choice.

    I have yet to see Sony handout $150 million checks. Their format is outselling the competing format by 2:1. And again, there's no need to bribe when you're the dominant one.

  12. #12
    Senior Member
    Join Date
    Oct 2007
    Posts
    100

    Default Re: Bay was right: Viacom, Microsoft sign $500 million deal

    Quote Originally Posted by Beej View Post
    Sony bought Columbia/Tri Star from Coca-Cola in 1989 back when cell phones weighed 15 lbs and looked like a SAT phone on roids. Sony has a partial stake in MGM (20%). They don't have controlling interest, that'd be Providence Equity Partners (29%) -- they (Providence) have other interests in other companies including Hulu, Freedom Communications, Warner Music, and CDW.

    Microsoft is owned 59% by Bill Gates. Microsoft has had it's problems, like the anti-trust litigation not so long ago. Microsoft is also one of the worst employee offenders where it generally hires employees as temp workers... and is according to www.corporatewatch.org, looking to India and its "two for the price of one" worker deals...

    In the corporate world there is no black and white, just shades of gray. However, as far as track records go, Mr. Gates and Microsoft are definately not in the good guy column. And no I don't think it really matters how much money you give away in charitable contributions, the tally is what it is. But I'm sure Mr. Gates thinks he's a stand up guy doing what he has to in a cut-throat world.

    Buying consumers generally don't care who is nice and who isn't, just where they get the better deal. Money talks...everywhere, unfortunately.
    I agree completely. There are no black hats and white hats in this. Different competing coroporate interests, different competing technologies, all competing in this particular segment of the entertainment market. As consumers we choose to spend or not spend our money on these products.

    On the question of neutrality, does anyone believe Sony would be willing to go neutral if every other studio agreed to?

    http://mba.tuck.dartmouth.edu/pdf/2002-1-0042.pdf

    When the less expensive VHS started to take hold, motion picture studios began to release a larger number of their library titles on the format. The more expensive Betamax failed despite its technological to release a larger number of their library titles on the format. The more expensive Betamax failed despite its technological advantages. “We didn’t put enough effort into making a family. The other side, coming later, made a family,” Morita later said, referring to the fact that Matsushita had licensed its technology and created an electronics industry-wide effort to unseat Betamax.3

    3Griffin, Nancy and Kim Masters, Hit and Run: How Jon Peters and Peter Guber Took Sony for a Ride in Hollywood, New York: Simon & Schuster, 1996, p. 196.

    The Betamax failure was an embarrassment that intensified Sony's competitive feelings toward rival Matsushita and became a watershed for what was to come.

    CBS Records
    "In the late 1970s we began to recognize the need to take Sony beyond

    hardware. Through our experience with Betamax, we discovered that the
    compelling motivation for the purchase of hardware is software."4




    4 Quote attributed to Michael (“Mickey”) Schulhof in Perry, Nancy J., “Will Sony Make it in Hollywood?” Fortune, September 9, 1991, p. 162.

    Columbia Pictures
    "We can’t guess where hardware innovations will lead, but we will be prepared with the software.”7

    7 Gross, Neil, “Why Sony is Plugging into Columbia,” Business Week, October 16, 1989, p.56.
    The hardware innovation led to Blu-ray.
    Last edited by Ranger; 12-20-2007 at 05:12 PM.

  13. #13
    Senior Member
    Join Date
    Oct 2007
    Posts
    100

    Default Re: Bay was right: Viacom, Microsoft sign $500 million deal

    Quote Originally Posted by nelson View Post
    There is no need to bribe since iTunes holds about 80% of the download market. Apple doen't pay studios to support their store or DRM. Studios go to iTunes to deliver their content (and if they don't like it, they can always leave like Universal did). Exclusive content--in iTunes--has more to do with alternatives that eliminating the loveable CD.
    My mistake, your right.

    Obviously there isn't as Paramount doesn't care about quality and/or consumer choice.

    I have yet to see Sony handout $150 million checks. Their format is outselling the competing format by 2:1. And again, there's no need to bribe when you're the dominant one.
    Have you seen the HD DVD of Transformers, and did you feel it showed a lack of quality in terms of the transfer?

    Do you believe that there was no quid pro quo between the BDA and Fox and Disney?

  14. #14
    Senior Member
    Join Date
    Oct 2007
    Posts
    100

    Default Re: Bay was right: Viacom, Microsoft sign $500 million deal

    Quote Originally Posted by Beej View Post
    Go neutral? That's not even a real question. You want to suppose? What's that do?
    Nelson, brought up the question of studios going neutral, so I was throwing the idea back out there for all sides to consider. I frequently see people lament that the studios don't all go neutral. Somehow they forget that Sony made sure that wasn't going to happen. It's not an indictment, there's nothing illegal in what they did, it's simply a fact.

    I'm aware of Sony's history. You act like that story is something shocking. They built a product. Built some darn good products. They compete. Sometimes they lose, sometimes they don't.
    There's nothing shocking about it. It's simply relevant to remember the history. It's not uncommon for Japanese companies to think 20 years out in regard to corporate strategy. Sony clearly was.

    Since Sony is foreign owned they do face tougher scrutiny on several fronts. There is a lot of things they can't buy or do simply based on ownership and oversight. They do well. They will continue to do well. Should Blu-ray fail, I'm sure they will have other products -- they got R&D and that's what they do.
    I agree completely. I expect Sony to be throwing elbows with Microsoft, Apple and other companies to build their download business. I'd quote Stringer, but why bother. You know what he's said about where they're all headed.

    Everything gets replaced eventually with the next best thing. Somewhere in some garage, some brainiac is working on that very next best thing that will replace HD/Streaming/and Blu-ray -- maybe it'll be 3-D holograms or 4-D, and this will just be a footnote long forgotten.
    I'm looking forward to it.

  15. #15
    Senior Member
    Join Date
    Sep 2007
    Posts
    415

    Default Re: Bay was right: Viacom, Microsoft sign $500 million deal

    Quote Originally Posted by Ranger View Post

    I'm looking forward to it.
    Well, okay. But back to the intial post by Nelson...
    which is still true, Bay was right (just nod your head... he was right).

    All the best.

    Peace.

  16. #16
    Senior Member xXRavenXx's Avatar
    Join Date
    Sep 2007
    Location
    Shreveport, LA via Los Angeles
    Posts
    1,457

    Default Re: Bay was right: Viacom, Microsoft sign $500 million deal

    Well Nelson ethically or not do you think this is going to help or hurt the writers strike... I see bad things because of this .

    Quote Originally Posted by nelson View Post
    There is no need to bribe since iTunes holds about 80% of the download market. Apple doen't pay studios to support their store or DRM. Studios go to iTunes to deliver their content (and if they don't like it, they can always leave like Universal did). Exclusive content--in iTunes--has more to do with alternatives that eliminating the loveable CD.
    Also don't forget this isn't just a film deal. You have itune holding a large part of the indy music market, and the great feud that's risen, and getting nastier with the Record Industry. The day is coming in he future (and the dawn can be seen) where there is no difference between a computer and a television. The mediums will merge.
    Last edited by xXRavenXx; 12-21-2007 at 11:17 PM.
    The only thing worse than stupid people are stupid people who bother me...
    Bumblebee1983:
    I'm da bomb.
    xXRavenXx:
    I'm Da Bomb... you can be my igniter though **Humms Light My Fire by The Doors** lol
    Bumblebee1983:
    As for being your igniter.....umm.....okay.
    xXRavenXx:
    **Thrilled with BB Raven sings afternoon delight from Anchorman**

  17. #17
    Senior Member
    Join Date
    Oct 2007
    Posts
    100

    Default Re: Bay was right: Viacom, Microsoft sign $500 million deal

    Quote Originally Posted by Beej View Post
    Well, okay. But back to the intial post by Nelson...
    which is still true, Bay was right (just nod your head... he was right).

    All the best.

    Peace.
    You're asking if I believe that Microsoft isn't really interested in HD DVD and they're only doing this to make the market transtion to downloads?

    No, I believe that they're placing bets both on physical media and downloads, just as Sony is. I believe their interest in HD DVD over Blu-ray relates to three things.

    1. They are licensor of HDi, though not a sole source for the Advanced Interactivity interface. Some companies write their own code.

    2. They are a licensor of WindowsCE which some players use as their OS. There are a number of HD DVD players that run Linux instead.

    3. They have a vested interest in mandatory managed copy, so people can reuse their HD DVD content on various other devices (HTPC, mobile devices, etc.). The studios get to decide how much (or if) they charge for these additional copies.

    #3 was a significant reason for why Intel and Microsoft decided to back HD DVD. It also was the issue that caused a rift between HP and the BDA despite the fact that HP was an early supporter. The BDA bowed somewhat to pressure from HP and instituted voluntary managed copy. Managed Copy basically combines the quality inherent in physical media with the flexibility of downloads.

    http://arstechnica.com/articles/paed...oft-hd-dvd.ars

    http://arstechnica.com/news.ars/post...this-year.html

  18. #18
    Junior Member
    Join Date
    Dec 2007
    Posts
    24

    Default Re: Bay was right: Viacom, Microsoft sign $500 million deal

    And why did Microsoft release a HD DVD drive that late?
    Why don't they use it to play games?

    Many questions no one is able to answer ^^

  19. #19
    Senior Member
    Join Date
    Oct 2007
    Posts
    100

    Default Re: Bay was right: Viacom, Microsoft sign $500 million deal

    Quote Originally Posted by chinmoku View Post
    And why did Microsoft release a HD DVD drive that late?
    Why don't they use it to play games?

    Many questions no one is able to answer ^^
    The add-on was released in November 2006 right about when the PS3 launched. The hardware they used was the 2nd generation drive mechanism you see in the HD-A2, HD-A20, HD-XA2.

    If you use it for games you run into two issues. First, you can't really say that people who buy it are HD DVD movie customers (some would be, but some would buy it just for access to the games). Second, you create a situation where you've split the platform into two hardware specs, with and without HD DVD. Not a smart move.

    more on the history of the format war here........

    http://www.shootfortheedit.com/forum...read.php?t=742

Bookmarks

Bookmarks

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •